Nvidia Stock Soars With 'Cosmological' Profit Predictions – Bigger Than Amazon?
Nvidia's earnings report led to a rise of over 30% in their shares on Thursday. This made tech stock an all-time high. Some on Wall Street hailed the earnings report as one of the best ever. Analysts predict that Nvidia could rise by 38% more.
On Thursday, Nvidia CEO Jensen Huang's wealth increased by $6 billion.
Nvidia made lots of money after they shattered expectations for sales and profit in their report on Wednesday. This means their company is now worth $150 billion more than before. Nvidia is a big player in the artificial intelligence world.
Nvidia made a really impressive forecast. It's about this quarter, right now. The forecast is called "cosmological". An analyst named Stacy Rasgon said that she's never seen a forecast like this before. The analyst wrote about this on Thursday. Her company is called Bernstein.
Everyone liked the report. FactSet boosted Nvidia's stock price 28 times in the last day. The biggest boost was from Rosenblatt analyst Hans Mosesmann. He increased the stock's price target by almost 100%, from $320 to $600. This means that the stock could go up by 38% from $375.
Nvidia surprised everyone with their earnings forecast. It was almost double what people expected. One analyst called it "unprecedented." He was shocked at how well Nvidia's AI segment was doing. He even raised his price target for Nvidia's stock. He thinks it could reach $500!
Nvidia is worth $930 billion and is the 6th biggest company. If its stocks reach $600, it will be worth more than Amazon and be the 4th biggest company. But Alphabet will still be worth more, worth $1.5 trillion.
Nvidia's stock went up a lot on Thursday. It's now higher than it was earlier this year. Other big tech companies have not done as well recently, says Aram Crisafulli from Vital Knowledge.
Analysts at Cowen were impressed by NVIDIA's performance. They felt NVIDIA's leadership in AI was making them money and putting any bearish criticisms to rest.
During Nvidia's earnings call on Wednesday, they brought up "Generative AI" 43 different times. This is what powers chatbots such as Google's Bard and OpenAI's ChatGPT.
Nvidia is doing really well. Their shares increased by 160% this year, which is way better than Nasdaq, Apple, or Microsoft.
Jensen Huang, CEO of Nvidia, now has a net worth of $33.7 billion. He gained $6.2 billion, making him the 37th richest person in the world according to Forbes.
Nvidia's shares rose 14%. Forbes reported. People are excited about the future of AI. They are imagining the possibilities. This excitement is causing the stock price to go up. Nvidia makes chips for AI technology.
Forbes says 7 tech stocks control almost 90% of S&P 500 gains. This shows the market rally might not be good.
